Data analytics has come to be a widely accepted and necessary part of any marketing strategy in any industry. According to Fortune Business Insights the Big Data Analytics market continues to grow year over year with a 13% increase in the market from 2023 to 2024. And is gauging to grow even more-so by 200% in the next 10 years.
As the finance industry has been quick to adopt big data, now is the time for banks and credit unions to take it one step further and use analytics to guide business decisions. The following guidelines can help you move beyond baseline analytics so you can take the right actions for your business.
1. Predict your customers’ next steps
Arguably, the biggest benefit of employing data analytics at a bank or credit union is the predictive information it provides, such as attrition indicators, wealth indicators and other demographic statistics. With this insight, you can identify what your customers’ next financial moves might be, and subsequently get in front of them with cross-sell and up-sell opportunities. According to Boston Consulting Group, A bionic bank uses technologically enabled solutions to gather a broad variety of data about clients’ transactions and behavior.
By using these insights to guide the efforts of their sales teams, relationship managers can not only increase their bank’s bottom line by 10% to 15% but also solidify their role as a client whisperer—someone who understands clients’ needs and background well enough to gain their full loyalty and trust.
2. Establish customer trust
It is essential for bank customers to feel comfortable sharing personal information. Rather than viewing data as a means for driving conversations based on statistical correlations, strive to understand what your customers really want. If you target your messaging and marketing appropriately, you’ll be able to look beyond broader trends and dive deeper into the products and services that are most applicable for different customers.
3. Evaluate data in light of bigger goals
Be sure to keep your organization’s long-term goals top of mind when incorporating data analytics into your marketing strategy. If you do this, you’ll be able to identify customer behavior trends that you can capitalize on, and make the right decisions to achieve these goals. If you’re focused on targeting a particular demographic, you can closely analyze how customers and prospects in that demographic respond to marketing campaigns. This type of analysis will help you determine which products and services are most relevant to them, and it can provide an impetus for exploring new offerings and service areas.
4. Consider all sides of your business
In order to stay focused on long-term goals, you need to consider all sides of your business. For example, which products and services are you pushing toward your millennial customers vs. your baby boomer customers? Are there specific locations or branches that need extra support? What matters most to your C-suite, and your division heads? Take a look at your data analytics with all of these views in mind, and you’ll be able to execute a comprehensive marketing strategy.
5. Work fast when necessary
Sometimes, taking the right action will require you to work quickly, and you won't have enough time to conduct a deep analysis. You may need to mine unstructured feedback data in order to come up with an immediate plan for changes. You can choose the depth of your analytics based on your business priorities, but don't let you data go too long without being touched, always remember to come back and re-assess your data analytics for updates or future campaigns.
Take the Right Action Right Now
If used strategically, data analytics can afford many benefits for banks and credit unions from a sales and marketing perspective. With the 360 View CRM platform you can apply analytics not only to understand your customers better, but to take the right actions for your overall business.
